Question: 1.2 Identify TWO (2) items from this statement of cash flows that improve cash flow but do not increase profit. 1.3 Explain why depreciation is

1.2 Identify TWO (2) items from this statement of cash flows that improve cash flow but do not increase profit. 1.3 Explain why depreciation is added to operating profit in computing the cash flow from operating activities. 1.4 There is a combination of a positive cash flow from operating activities of R1 504000 and a negative cash flow from investing activities of R8 384000 . Is this favourable for Sinclair Ltd? Provide THREE (3) reasons for your answer. 1.5 Comment on the following: 1.5.1 Decrease in inventory, R264 000 1.5.2 Increase in receivables, (R3712000)

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